- ADA price started a strong decline from well above the $1.350 level against the US Dollar.
- The price is now well below the $1.300 support and the 55 simple moving average (4-hours).
- There was a break below a key contracting triangle with support near $1.305 on the 4-hours chart (data feed via Bitfinex).
- The price is likely to continue lower below the $1.100 and $1.050 support levels.
Cardano price is declining and trading well below $1.200 against the US Dollar, similar to bitcoin. ADA price could decline heavily if it fails to stay above $1.050.
Cardano Price Analysis
After forming a base above the $1.250 level, cardano price started a strong increase against the US Dollar. The ADA/USD pair broke many hurdles near $1.300 and $1.400 levels.
It even spiked above $1.500, but it failed to clear the $1.560. A high was formed near $1.560 and there was a sharp decline in the past few sessions. The price broke many supports near the $1.450 and $1.300 levels. There was also a break below a key contracting triangle with support near $1.305 on the 4-hours chart.
It is currently trading well below $1.300 and the 55 simple moving average (4-hours). It tested the $1.050 support and started a recovery wave. It climbed above the $1.150 and $1.220 levels.
There was a break above the 23.6% Fib retracement level of the downward move from the $1.560 high to $1.056 low. However, the price is facing a strong resistance near the $1.300 and $1.308 levels. It failed to clear the 55 simple moving average (4-hours). The 50% Fib retracement level of the downward move from the $1.560 high to $1.056 low is also acting as a resistance.
It is sliding again and trading below $1.250. An immediate support is near the $1.100 level. The main support is near the $1.050 level. If there is a clear break below the $1.050 support, there is a risk of a sharp decline in the coming sessions.
Conversely, the price might start a fresh increase above the $1.250 resistance zone. The next key resistance is near the $1.308 level.
The chart indicates that ADA price is clearly struggling below the $1.300 and $1.250 levels. Overall, the price is likely to continue lower below the $1.100 and $1.050 support levels.
Technical Indicators
4 hours MACD – The MACD for ADA/USD is now gaining pace in the bearish zone.
4 hours RSI – The RSI for ADA/USD is now well below the 50 level.
Key Support Levels – $1.100 and $1.050.
Key Resistance Levels – $1.250 and $1.300.
